Order No. 1999-A-65

February 5, 1999

File No. M4211/L168-2

Lynden Air Cargo, LLC doing business as Lynden Air Cargo doing business as Loken Aviation (hereinafter Lynden) has applied to the Canadian Transportation Agency (hereinafter the Agency) for the authority set out in the title. The application was received on November 20, 1998.

Under Licence No. 970109, Lynden is authorized to operate a non-scheduled international service between points in Canada and points in the United States of America.

Condition No. 2 of Licence No. 970109 states that the Licensee is prohibited from carrying local traffic between points in Canada.

Pursuant to section 57 of the Canada Transportation Act, S.C., 1996, ch. 10 (hereinafter the CTA), no person shall operate an air service unless, in respect of that service, the person holds a licence; holds a Canadian aviation document and has the prescribed liability insurance coverage.

In addition, subparagraph 61(a)(i) of the CTA states that the Agency shall issue a licence to operate a domestic service to the applicant if it establishes to the satisfaction of the Agency that it is Canadian.

Pursuant to section 62 of the CTA, the Minister may, by order, exempt a person from being Canadian as set out in subparagraph 61(a)(i) of the CTA, when he considers it necessary or advisable in the public interest.

By Order dated November 20, 1998, the Minister of Transport exempted Lynden from the application of subparagraph 61(a)(i) of the CTA in order that it may operate one domestic flight from Thunder Bay to Lansdowne House, Ontario, Canada using an L382G Hercules aircraft during the period beginning on November 20, 1998 and ending on November 27, 1998.

On November 20, 1998, Transport Canada exempted Lynden from the requirement to hold a Canadian aviation document. In addition, Lynden provided evidence that it had prescribed liability insurance coverage for the operation of a service within Canada.

The Agency has considered the matter and is of the opinion that compliance with paragraph 57(a) of the CTA is impractical in this case.

Accordingly, pursuant to paragraph 80(1)(c) of the CTA, the Agency hereby exempts Lynden from the requirement to hold a domestic licence in order to operate a flight using an L382G Hercules aircraft carrying 38,000 lbs of outsized electric generators on behalf of Powell Equipment Ltd. between Thunder Bay and Lansdowne House, Ontario during the period beginning on November 20, 1998 and ending on November 27, 1998.

This Order takes effect on November 20, 1998, the date on which its content was communicated by letter to the parties of record.